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Core

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Quickening Quantum Spark New Zealand (ASX:SPK) has identified opportunities to accelerate its cost reduction effort dubbed the “Quantum Programme”. Although this will crimp profits in the short term, it is slated to boost long term profits and transform Spark into New Zealand’s lowest cost telecommunications operator. Paring the structural cost base is integral to Spark’s goal of boosting its EBITDA margin over the longer term, but we are also pleased with traction in bringing Spark into the digital age. Positively for

Collins Foods (ASX:CKF)

Core

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A ‘not so secret’ recipe for success It has been fairly quiet on the news front since our last update on Collins Foods (ASX:CKF). Today, Australia’s largest KFC operator released full year results, which saw earnings leap 16% on a 21% jump in revenues, fuelled by acquisitions. We attended the investor presentation and were encouraged by the result, current trading, and future growth plans in Australia as well as Europe. After digesting the release the market has also agreed, with the

Oil Search (ASX:OSH)

Speculative

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A PNG rattler unsettles the numbers A major earthquake in Papua New Guinea (PNG) was the key feature of Oil Search’s March quarter 2018 activities. The step-down in production for the first quarter was significant, but fortunately not permanent. Guidance for 2018 was impacted by the PNG event with a downgrade. Moreover, revenue took a knock for the quarter, but higher realised energy prices limited the fall. The company revealed a soft March quarter 2018 result, with production on a barrel of

9 Spokes (ASX:9SP)

Speculative

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The devil is in the detail Shares in business dashboard aggregator 9 Spokes (ASX:9SP) have continued to disappoint, and have tracked lower since our last review. We have highlighted that the recommendation was a highly speculative one, and that Members would need to adopt a longer term horizon given that revenues, let alone earnings, were at an embryonic stage. Nonetheless, the performance of the shares has been frustrating given the company has gained strong validation by signing up major blue chip

Platinum Japan Fund (ASX:PJF)

Core

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Feeling the Oite (Tailwinds) Japanese shares have staged quite a recovery with the Nikkei 225 Stock Index back above the 22,000 level as a mix of positive developments on the global and home front have supported investor enthusiasm. With the month of June already underway, we have seen a plethora of economic data flowing in and we take the time to review the salient developments in the country. Considering the improving prospects, we have reinforced our view on the Platinum Japan

Estia Health (ASX:EHE)

Speculative

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Aging Well Although pulling back from 52-week highs, shares of residential facility aged care provider Estia Health (ASX:EHE) have advanced modestly over the past year. At the time of its well-received interim results announcement in February, the company declared its first interim dividend in two years and a mid-single digit increase in EBITDA. Estia appears be advancing its turnaround under new senior management and should be a beneficiary of industry tailwinds. Recapping the interim results and total revenues edged up 3.3% to $271.7

Magellan Financial Group (ASX:MFG)

Core

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Navigating its Way Shares of Magellan Financial Group (ASX:MFG) have drifted downwards so far in 2018 with growing trade tensions, international political developments and mixed fund inflows serving as headwinds for the internationally-oriented investment specialist. Nonetheless, the shares have delivered impressive returns for shareholders since our initial recommendation and as we have confidence in the company’s model for long-term success we recommend holding. May FUM update May 2018 was a quiet month on the flows side, with Magellan experiencing net outflows of $47

Fiducian (ASX:FID)

Speculative

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Buying into the Growth Phase The outlook for Australia’s pension industry continues to look bright with the overall asset base set to grow to circa $9.5 trillion by 2035. We have backed a number of companies leverage to this thematic, and are positive on the growth prospects for vertically integrated player, Fiducian (ASX:FID). With an impressive product and service offering, along with a prudent business strategy, we are initiating coverage with a BUY recommendation on the stock. Introduction and Investment Conclusion Fiducian Financial

About these archived stock reports

These are archived Fat Prophets equity research stock reports and share analysis. They do not constitute current investment advice, financial product advice, or a recommendation to buy, sell or hold any financial product. They are provided for historical reference only, and reflect the market conditions, company information, forecasts and opinions available at its original publication date. The information may no longer be current or applicable. Past performance is not a reliable indicator of future performance.

This is general information only and does not take into account your objectives, financial situation or needs. Before acting on anything in this report, you should consider its appropriateness to your circumstances and seek advice from a licensed financial adviser.

DISCLAIMER Fat Prophets has made every effort to ensure the reliability of the views and recommendations expressed in the reports published on its websites. Fat Prophets research is based upon information known to us or which was obtained from sources which we believed to be reliable and accurate at time of publication. However, like the markets, we are not perfect. This report is prepared for general information only, and as such, the specific needs, investment objectives or financial situation of any particular user have not been taken into consideration. Individuals should therefore discuss, with their financial planner or advisor, the merits of each recommendation for their own specific circumstances and realise that not all investments will be appropriate for all subscribers. To the extent permitted by law, Fat Prophets and its employees, agents and authorised representatives exclude all liability for any loss or damage (including indirect, special, or consequential loss or damage) arising from the use of, or reliance on, any information within the report whether or not caused by any negligent act or omission. If the law prohibits the exclusion of such liability, Fat Prophets hereby limits its liability, to the extent permitted by law, to the resupply of the said information or the cost of the said resupply.

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